Jera Co. Inc., Japan’s largest power company, said Thursday it plans to launch a pilot project backed by the government that could help displace 30% of the liquefied natural gas (LNG) used to generate electricity, with hydrogen planned at a select power plant. 

The government grant would help fund the switch to hydrogen for a portion of the fuel used at an unspecified large-scale LNG thermal power plant. Jera is aiming to cut carbon dioxide emissions across its business. It plans to gradually increase the use of hydrogen and ammonia at its facilities. LNG is used to generate 71% of the company’s power. 

Hydrogen would be introduced later this year. Jera said it would evaluate the operational and environmental performance of the fuel from this October to March 2025. The...